The IT training industry is growing bigger and bigger every year, and is only projected to continue growing. In fact, as technology becomes more widespread, there’s an increase in the need for employees to become trained on new technologies. That’s why at New Horizons, we provide the training and certifications that allow employees to become competent in the technology world. So how much, exactly, is this growth going to affect the IT Training industry?
The more widespread technology becomes, the more demand there is for courses involving those specific programs such as Cisco, CompTIA, VMWare, and many more. That’s why we’re looking for new franchisees to help us expand our franchise. Just check out the statistics below to find out how you can benefit by opening a New Horizons franchise.
Software Training Outlook
According to an IDC Market Analysis report, the U.S application software training market alone shows an increase from $5.2 billion in 2011 to $6.2 billion in 2016, which represents a CAGR of 3.5%. ERM applications, collaborative applications, and CRM applications represents the fastest growing training market segments. Several factors that continue to drive applications training market include:
- Increased importance of “social business”
- Regulation and corporate governance issues
- Better search and context search applications
- Sales-focused recovery
These are several factors that drive this growth, but other factors include business process improvement, cost reduction, and customer demands that remain potent forces to prompt organizations to invest in new applications in order to drive efficiency, boost bottom-line savings, and meet or exceed customer expectations.
Increase of the IT Industry
In 2015 alone, IT spending worldwide reached $3,517 billion U.S. dollars. On top of that, IT jobs are projected to grow at a rate of 22% throughout 2020. That growth is skyrocketing rapidly and with so much new technology getting out in the market constantly, that growth will continue to increase as the years go on. This means that business like New Horizons will become more and more important as time goes on.
Digital Learning Compared to Classroom Learning
Throughout 2016, it’s estimated that $26.7 billion will be spent on worldwide IT education services. The trend that we’ve been seeing has been a shift from regular classroom learning to the virtual classroom learning. In 2002, the expenditures on classroom learning reached 48.9% compared to digital learning at 18%.
Over the years, we’ve seen an increase of digital learning and in 2016, classroom learning is projected to reach 43.3% with digital learning increasing at 22.7%. There has been a dramatic shift from classroom learning to digital learning that we have to take into account with our New Horizons franchise. It’s more popular to learn online nowadays than in classrooms, so we’ve developed entire learning methodologies and solutions where we have accommodated that change such as Online LIVE and Remote Mentored Learning.
The Impact of IT Education on Technology Value
Providing IT technology training to companies and their employees has made a world of difference in determining the success of a particular IT solution because of the skill of the IT functional team. Training and team skills have the most significant impact when they receive technology training, and consequently, well-trained teams derive more benefits from their technology investments than undertrained teams.
When teams are sufficiently trained, their functional performance can be dramatically improved. Based on IDC surveys and end-user interviews, there are several criteria that are most influential in predicting effective change in IT team performance:
- Training offering: A broad range of educational services are offered to ensure the most effective client use possible of the deployed technology.
- Training delivery: Formal training is leveraging all types of learning modalities, including community or social learning.
- Segmented messaging strategy: Company education marketing includes separate value propositions for partners, client project teams, end users, and even the academic community.
- Strategy/pricing model: The price of training for partners encourages dedication and commitment to completion, and partners are rewarded for certification achievement by being reimbursed for training and certification costs.
- Learning service strategy: Learning services strategy is focused on ensuring organizational capability by aligning organizational development services to the operational life cycle of the client.
As you can see, the IT training industry is continuing and projected to grow exponentially in the future of technology. To get in on this growth by opening your own New Horizons software training franchise, contact us and get started right away!
Cushing, Anderson. “Worldwide and U.S. IT Education and Training Services 2012 – 2016 Forecast.” T Education and Certification: Market Analysis 1 (April 2012). https://media.cms.bmc.com/documents/2344621.pdf.